April 21, 2010 – Software as a service adoption is expected to increase through 2014 for all markets, but the public sector is slow on the pick up, according to a new report from Saugatuck Technology.
The market research firm’s March survey on global SaaS adoption cites 2014 as the “tipping point” for cloud computing, with new SaaS deployments equaling new on-premise deployments. That compares to a current disparity of nearly 40 percent.
The public sector will likely have a flatter and longer adoption curve that the rest of the market, with slower deployment through 2010 and a faster adoption pace from 2012 to 2014.
The slower adoption rate could be attributed to bureaucracy in public sector companies, particularly in government agencies, according to the report’s authors. Significant obstacles in purchasing processes and requirements can add years to the adoption process.
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